Pharoah Construction Company had a contract starting April 2021, to construct a $23200000 building that is expected to be completed in September 2023, at an estimated cost of $21200000. At the end of 2021, the costs to date were $8056000 and the estimated total costs to complete had not changed. The progress billings during 2021 were $4000000 and the cash collected during 2021 was 3120000. Pharoah uses the percentage-of-completion method.

For the year ended December 31, 2021, Pharoah would recognize gross profit on the building of:

$694483.

$760000.

$1314400